The scope of current cyber insurance is modest relative to potential exposure, said a study by Swiss Re sigma report. It said that cyber risk is a growing concern for businesses, with recent attacks demonstrating that the costs of a cyber breach can escalate well beyond managing the fallout of lost or corrupted data. The report, ‘Cyber: getting to grips with a complex risk’, said businesses need to do much more to integrate cyber security into their risk management programmes. “A dedicated cyber insurance market is developing rapidly, but so far the scope of cover is modest relative to potential exposure. Product and process innovation and also advanced analytics will help foster improved cyber insurance solutions and extend both the boundaries of insurability and reach of cover,” it said.
